Integrative Problems and Virtual Organization Strategy Essay

We evaluated our company’s position in the industry, and found ourselves in an excellent starting position to further develop our products and match them to the industry’s needs. Our market share is adequate and we can advance further with our strategy improve and reposition our products in the coming years. We have underutilized capacity, which we intend to improve, while increasing automation to reduce costs. We have plans to improve our promotion to improve product awareness and with the appropriate product lines we will increase price to improve margins and better align our high-end product image. Our current financial position is optimistic, showing our leverage (Assets/Equity) at 2.0, when our goal is to maintain 1.5-2.0 overall. By utilizing the analysis tools we are learning what elements are driving demand, how to effectively tailor our products through R&D, how best to adjust our marketing and pricing, while lowering input costs, in order to improve margins and to ensure our stakeholders are all satisfied.

Publicly traded companies are subject to the reporting and disclosure requirements of the Securities Exchange Commission (SEC). The laws that govern the securities industry were established to provide transparency to investors, creditors and shareholders alike. According to Hoyle, Schaefer & Doupnik, (2015) there are seven major disclosure requirements, the first being a five-year summary of operations to encompass sales, assets, income from continuing operations. Followed by a description of business activities, a three year summary of industry segments to include foreign and domestic operations, a list of company directors and executives, quarterly market price of common stock for the last two years, restrictions on the company’s ability to continue paying dividends, and finally, an analysis of the company’s financial condition, changes in the conditions and results of operation.

DRAKEN needs new growth methods, product development and new revenue sources. The implementation plan below will identify the course of action best suited for the company along with the objectives, functional tactics, action items, milestones, task ownership, and resource allocation. Also, the plan includes financial information including financial projections and a break-even analysis chart that will be used as the basis for moving the business forward.

The main purpose of the Integrative Learning Project (ILP) is to introduce an authentic or fabricated company/industry to research. The company’s organizational setting includes the mission statement of the company, who the internal/external customers are, what aspects can

The growth of the company can only be maintained if all operation parts work simultaneously as a single unit. The goals of the organization must be achieved through accounting and financing systems that have been upgraded. Dr. Riordan a chemistry professor from Albany, Georgia founded, Riordan Manufacturing Inc. in 1993, he created many items that were patented in relations to polymer dispensing. The compounds are high in molecular weight in most cases almost a million units are created into some form of plastic and it is very strong. In the beginning Riordan manufacturing licensed panted and researched its creations Riordan manufacturing was one of the companies that spread through the World Wide Web. In 1993 Riordan plastic changed its name to Riordan manufacturing. The plant received business capital to expand production and purchased a manufacturing plant in Pontiac, Michigan, further expansion took place in the year 2000 and a plant was opened in China. Due to the international Expansion Riordan manufacturing structure has been recognized(Riordan, 2010).

to offer full disclosure on their financial statements. Private companies are not bound to such strict disclosure requirements.

Assume that you are a CEO of a medium-sized company that needs a significant influx of cash for several expansion projects. As the CEO, you must determine whether your company should remain private or go public. Some companies postpone going public due to the unpredictability of economic and market conditions. Consider the ramifications of both alternatives. Construct an argument for and against going public. Before providing your response, review the guidelines and regulations associated with going public by visiting Small Business and the SEC located at http://www.sec.gov/info/smallbus/qasbsec.htm.

Based on their past experiences, Riordan may need to consider looking for another company to purchase their motors from in order to foster a make-to-stock operation. This allows for a forecasting of potential sales based on an average of the past three year’s sales and projecting that for the future year sales. This may help in creating a more competitive market for manufacturing and delivery of their product.

This suggests that financing to expand operations, replace equipment, or other purposes, should be secured soon. The present monetary policy of the Federal Reserve is contracting and decreasing the total money supply to stave off inflation. High oil prices, the weaker dollar and decelerating labor productivity are contributing to rising inflation. The inflation rate forecast is estimated at a rate less than 3.00%; however, the Federal Reserve will work to limit inflation in combination with a strong retail market. The unemployment rate was only 5.50% last year and will improve slightly to 5.20% in both 2005 and 2006. A large trade deficit in the U.S. trade balance will lead to the dollar/euro currency exchange rate of 1.25 dollar to the Euro. This data indicates positive economic conditions for Riordan. Opportunities to leverage relatively low interest rates into new investments will allow Riordan to enter new markets and increase productivity. This forecast provides the basis to meet the firm’s sales goals.

Riordan Manufacturing is an industry leader in plastic injection molding with plants in Georgia, Michigan and now China. With the company's expansion into a global market, the electronic commerce (e-business) will be a beneficial form of commerce that is currently flourishing in the modern world of global business. The Internet is used to buy and sell goods and services world wide. Cheeseman (2004) explains that the economic growth of computer technology and e-commerce has exceeded that of manufacturing in the United States economy. E-business is used to increase

Nova Chemicals operates in both the basic and specialty chemicals segments. The IPD division that produced basic chemicals is under review for sale to United Chemicals due to its apparent poor performance. On further review it appears that the offer of $160 million is much lower than the actual value once the R&D expense is reallocated. At the same time since the IPD division does not share synergies with the other divisions it is recommended to either spin off the division or institute a tracking stock to make its actual value transparent to the market and thereby prepare it for a future sale. In order to raise the capital for a capacity expansion for the high growth Environmental Products division we recommend

Forecasts for continued organizational growth combined with a higher than industry turnover rate approaching 20% have necessitated the need to increase recruiting, consider internal transfers, and creation of a talent strategy succession plan.

Our choices led to a constant increase in net income over the three years. Short term debt increase by approximately 100% percent but steadily reduced over the next three years. We were happy with the positive growth of the company and the fact that we were able to pay off most of the initial short term funding required by the increase in working capital requirement. Overall the current situation of the company in 2018 is good, although the total value created is less than 20% of that created in phase 1. From this we learned that the value of the firm can be significantly increased more through a reduction in working capital requirement than through increasing the firm’s sales and net income.

One of the biggest downsides of a company going public is not only the costly price attached, but also the stressful drawn-out process of documents and regulations to follow. Going public is process private firms make when they issue shares of stock to the public for the first time. If a company wants to share stock to the public, it has to conduct an initial public offering (IPO). An IPO is a process that takes weeks or months for preparation. The process starts with retaining a law firm to engage in the tedious detailed disclosure documents needed for the IPO prospectus that is included in the Securities Exchange Commission Form S-1. The Securities Exchange Commission (SEC) overseas publicly trades companies and there are various documents that need to be disclosed which include financial statements, management information circulars, management’s discussion and analysis (MD&A), earnings release and prospectuses. Most disclosure documents must be filed with securities regulator. However, some don’t have to be filled, but instead posted on the funds website or sent to investors, these include quarterly portfolio disclosure. There are two main acts under the SEC. The first is The Securities Act of 1933 which is designed to prevent fraud in the sale of securities. It requires initial disclosures about securities, such as stocks, that are going to be sold to the public (Federal regulation of publicly traded companies, n.d.)

The epistemological views on organizational strategizing are as old as strategy itself. Strategy scholars distinguished between formulation and implementation; making formulation the key concept which provides the roadmap for the organization. Implementation was seen by early strategy scholars as the tools to navigate the map. The formulation stage of the strategic process has always been seen as critical in identifying a roadmap for an organization; it analyses internal and external influences and assist formulators create a stage for organizational competitiveness. In the early writings of strategizing, senior management was viewed as a custodian of formulation while middle management seen as the implementer. Most of the research which